Beware of promises of credit/debt relief

HASTINGS, Neb. (KSNB) – With the spring shopping season here, many people are likely working to improve their credit score or reduce debt – all in hopes of making bigger purchases in the near future.

However, as with almost everything these days, there are risks, and Josh Planos, director of public relations for the BBB, says that several companies offer you a chance to get out of debt and improve your credit score. , and it might be hard to turn down such attractive offers.

“Victims are lured by guarantees like a credit rating boost or debt forgiveness,” Planos said. “If they pay an initial fee, they are guaranteed to have the whole world. Unfortunately, the scammer often gets hold of the money and personal information they glean in the process. »

So if you see an offer that’s too good to pass up, you better know how to protect yourself from being the next victim of the scam. Planos said there was a telltale sign to decipher whether it was a scam or a genuine offer.

“Recognizing that advanced fees are a concern,” Planos said. “Not all companies that promise to fix your bad credit are scams, but if you’re asked to pay up front, that’s a huge red flag, because in the US and Canada, companies credit repair and debt relief providers may only collect their fees after they have performed the promised services.

Planos also said that if the offer is too good to be true, it probably is.

“Don’t believe the guarantees,” he added. “No one can guarantee that your debts will disappear or improve your credit score. In fact, they can’t promise you anything before they’ve even looked at your financial situation. So when you hear outlandish advertising tactics like this, it’s usually a mask for some sleazy operation or one that might not be legit in the first place.

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